My husband and I have been in a PTD since last August. He had two jobs when we signed up to this but he is really struggling with his other part time job as his main job is becoming more demanding and he has to work longer hours (unpaid). He is potentially looking at giving up this other job which earns him around £350 a month. He pays £700 a month into his PTD. Can someone tell me what the implications of this would be?
Hello susie.
If your husband decides to give up this second employment there may potentially be implications in terms of the trust deed being extended to compensate for any reduced monthly payment. The issue is that the creditors agreed to the trust deed on the basis of the £700 per month contribution, which I'd imagine will be hard to maintain if that amount of income is lost?
There seems to be a distinction here between making a decision that results in a trust deed payment being reduced (for example giving up a second job) and being put in a position involuntarily where the trust deed payment has to be reduced (for example redundancy).
There may be a "grey area" here I suppose if the second employment has to go because it's simply impossible due to increasing demands from the main job.
Hopefully our experts can expand on this a little when they next get chance to visit the forum.
That's what I suspected - I think he was worried that the creditors might want to sequestrate if the payments were reduced but he has no problem in extending the term to compensate for the shortfall in payments.
Hi Susie
Don't worry, I suspect the Trustee would look at an extension of the Trust Deed.
Mark
Mark is not posting regularly in the Trust-deed.co.uk forum.